Category: Market Reports

Net Lease Dollar Store Cap Rates Increase

Posted on by ginger

Cap rates within the single tenant net lease dollar store sector increased by 15 basis points from the second quarter of 2015 to the second quarter of 2016 to a 6.65% cap rate.

The dollar store sector, for the purpose of this report, is defined as free standing Dollar General, Dollar Tree and Family Dollar properties, as these tenants represent the largest presence within the sector. Cap rates for Family Dollar assets remained unchanged while Dollar General and Dollar Tree experienced increases of 10 and 15 basis point each, respectively.

Read more at Realty Biz News

Foreign Capital Continues to Drive Biggest U.S. CRE Investments

Posted on by ginger

Far from losing steam, foreign investors in the last few weeks seem to have stepped up their U.S. real estate investment game in the wake of several new mega-deals, while others have announced they intend to do so after a sluggish start to the year.

The breaking news this week is that Saudi Arabia’s Olayan America, in a joint venture with Chelsfield, a London-based property group, struck a deal to purchase the Sony Building at 550 Madison Ave. in New York City for $1.3 billion.

Read more at CoStar.

As Store Counts Rise, Dollar General’s Cap Rates Could Hit New Lows

Posted on by ginger

Dollar General has been on a winning streak, both as a retailer and as a net lease investment, since the economy began to recover in 2009. A number of factors are driving that winning streak as a retailer, but the company’s appeal as a net lease tenant is based on profitable operations and ambitious plans for expansion. What’s more, Dollar General recently unveiled strategic plans that will likely help it maintain its glitter in the eyes of net lease investors.

Read more at National Real Estate Investor.

What’s fueling $5.5 billion in Houston developments

Posted on by ginger

Houston’s health care development is booming due to severaThere’s roughly $5 billion in medical construction and development underway in the Bayou City, according to a recent report from

Houston-based Transwestern. It’s not just hospitals being built, though – medical office buildings are on the rise, and Houston’s biggest health care institutions, such as Memorial Hermann, Houston Methodist and Baylor College of Medicine are all expanding their presence in Houston’s suburbs.l factors such as the impact from the Texas Medical Center, a growing and aging population base and the Affordable Care Act.

Read more at Houston Business Journal.